Here’s the article I followed to create my bootable USB flash drive when installing Windows 7 – something that’s essential when you don’t have a floppy drive or an optical drive in your machine.
http://kmwoley.com/blog/?p=345
To make the process even simpler, you can use WinRAR or an ISO-mounting or reading application to get the installation files and boot sector from the Windows 7 RC1 ISO image without needing to burn a DVD.